Things are slowing opening back up.  Hopefully, the trend continues with no significant spikes in infection rates.  That being said let’s look at some industry trends we should all be aware of in 2021.  

It is expected the logistics industry will adopt self-driving vehicles much faster than most other industries. The primary concern for automated motorized vehicles is personnel and property damage liability. Secure areas and minimal personnel mitigate liability risks creating ideal conditions for an automated environment. Also, the grid design of a typical warehouse makes for generally simplified navigation of an automated forklift, for example. The limited and repetitive tasks required to stack and transport pallets does not require complicated programming and sophisticated hardware. With these considerations in mind, it’s possible that a warehouse may be the ideal environment for a completely automated storage and distribution facility. Most high-volume warehouse facilities today have some degree of autonomous technology in use. It may require a leap of faith to go to 100% automation. 

Covid-19 has poured jet fuel on the eCommerce revolution adding a new wrinkle to the traditional supply chain. From speed of delivery, to increased consumer expectations, this transformation has mostly been driven by a more empowered consumer magnified by the pandemic. However, this change doesn’t come without challenges, mostly in the final mile of delivery.

We’re all painfully aware that the last 14 months have been devastating to the U.S. economy. But things are looking up. We have several vaccines, hospitalizations are trending down as are Covid deaths. Already grappling with truck driver shortages, rising freight rates, and intermittent capacity issues, the domestic transportation sector experienced major shifts when the global pandemic disrupted supply chains around the world and shippers were sent scrambling for solutions. Trucking has always been a reliable barometer of domestic GDP. Most indices point to a strong 2021. So, what will the future of motor freight look like?

The effects of the Covid-19 virus are yet to be accurately measured in terms of human life and global economic impact.  Hospitalizations have begun to level out in parts of the country with the vaccine rollout. It is the universal expectation that the U.S. economy and the world will slowly recover from this pandemic.  Perhaps as early as Mid-2021. Now is the time to formulate your organizations recovery plan. 

Given the turmoil of 2020, with the pandemic, the tense election cycle and public protests, we are all clamoring for a surer sense of what is to come. The real issue is not whether the economy will be strong, but rather how strong. We’re all cautiously optimistic that things are going to return to some semblance of normal some time In 2021. We may be wearing masks and social distancing for some time to come but the American economy is resilient. We will find a way to adapt and prosper in our new environment.

In today’s Logistics business time and performance are key to success. Now more than ever analytics, metrics and key performance indicators are critical components in planning and execution protocols. Today’s logistics market is more demanding than it’s ever been. Businesses across the supply chain are now expected to easily adjust to shipment patterns, predict customers’ buying behaviors, provide on-time deliveries through the most efficient routes possible, and reduce the risks of cargo inventory errors and miscalculations. Predictive analysis allows for advanced planning for future demand based upon historical data. This movement towards anticipatory logistics is already widely accepted among industry decision-makers: A study by the Council of Supply Chain Management Professionals revealed that 93% of shippers and 98% of third-party logistics firms feel like data-driven decision-making is crucial to supply chain activities, and 71% of them believe that big data improves quality and performance. 

As we struggle to combat Covid-19 and other mutant strains of the virus, through this year and beyond, logistics planners may want to keep their eye on some key factors affecting the supply chain. You may find some of these topics affecting your logistics planning in the coming years.

America’s roads, bridges and tunnels are crumbling at an alarming rate. Every 4 years the American Society of Civil Engineers (ASCE), an organization made up of over 150,000 civil engineers, gives the United States an “infrastructure report card". The organization gave the U.S. a grade of “D+ in its most recent evaluation. This grade is an improvement from the previous one. The effects of failing infrastructure and the need for the federal government to improve it are obvious, yet why isn’t the government doing anything? There is little disagreement in Washington that repairs are critically needed. The slow response is mostly a combination of trying to secure funding and the snail’s pace at which our federal government moves.

Everyone is anxious to turn the calendar page next month. Industries have transformed dramatically as companies across the world rethink business models, restructure organizations, and adapt to ever-changing rules and regulations.